Not really. For centralized crypto exchanges there is always a counterparty risk that's why it's better to use margin trading and leverage for trading. You will pay fees for the borrowed funds but you will decrease the lost in case the worst happens.
For decentralized exchange, normaly you should be able to get access to your funds at any moment.
If you are not trading at all you'd better keep your funds on a cold wallet.
Topic: Is our crypto really safe? (Read 408 times)
In my view, it depends on your Crypto wallet, and also to do with the hardware wallet IF you are using, as that gives the security. I use Coinbase, which I feel is HIGHLY safe and secure.
I think every exchange could be hacked sooner or later. Coinbase has access to your private keys. So I can't call it secure I guess.To me crypto in general is not safe. I must argue more better security as exchange hack wind up normal. I prefer the most legitimate, demonstrated, secure spot to store my coins. There's always a way an exchange could get compromised. The computer could breaks, USBs gets lost such issue needs to get attention.
And those hacking news are going out considerably frequently. In these two months of 2019, some reputed exchanges got hacked. I am really concerned now about exchange hacking and crypto security.
Don't know if this is OTT but I have:
A VM that contains KeyPass (locked)
Which is then encrypted and stored via Veracrypt
I then copy those Veracrypt files to 3 different USBs.
I have different passwords to unlock all layers, which consist of a gibberish of key bashing patterns that I have somehow remembered :p
A VM that contains KeyPass (locked)
Which is then encrypted and stored via Veracrypt
I then copy those Veracrypt files to 3 different USBs.
I have different passwords to unlock all layers, which consist of a gibberish of key bashing patterns that I have somehow remembered :p
To me crypto in general is not safe. I must argue more better security as exchange hack wind up normal. I prefer the most legitimate, demonstrated, secure spot to store my coins. There's always a way an exchange could get compromised. The computer could breaks, USBs gets lost such issue needs to get attention.
Hi there everyone,
This is a rather old topic...
The CEO of QuadridaCX died who was the only one to know the secret keys for the cold wallets of the exchange. Yeah, I know some people are saying it's a fake death and it was just an exit scam, but I kept thinking, what if I die today and all my crypto holdings are theoretically locked forever? And it's certain that there are people who are dead now who were holding crypto and nobody knew how to access them. These crypto assets will never be in circulation again... So how can we prevent this from happening? Is it alarming or not? Will there be any solutions in near future?
Thanks in advance.
This is a rather old topic...
The CEO of QuadridaCX died who was the only one to know the secret keys for the cold wallets of the exchange. Yeah, I know some people are saying it's a fake death and it was just an exit scam, but I kept thinking, what if I die today and all my crypto holdings are theoretically locked forever? And it's certain that there are people who are dead now who were holding crypto and nobody knew how to access them. These crypto assets will never be in circulation again... So how can we prevent this from happening? Is it alarming or not? Will there be any solutions in near future?
Thanks in advance.
Don't let third parties hold your coins, always withdraw to your own wallet(s) when finished trading. There's ALWAYS a risk that something will happen and you won't be able to access your funds when you let other people store your coins. And when you manage your wallets yourself, you can set extra security and keep seeds/privatekeys safe
And who knows, maybe he trusted other people with passwords and such, but they might have seen their chance to act like they don't know shit.. We'll probably never know, till funds start moving one day.
In my view, it depends on your Crypto wallet, and also to do with the hardware wallet IF you are using, as that gives the security. I use Coinbase, which I feel is HIGHLY safe and secure.
But of course, I am also using Hardware Wallet, as I feel it’s important to secure yourself IF you have large amount of Cryptos. But it is important to get the selection right when it comes to Hardware Wallet, as this is something that could make a big difference.
But of course, I am also using Hardware Wallet, as I feel it’s important to secure yourself IF you have large amount of Cryptos. But it is important to get the selection right when it comes to Hardware Wallet, as this is something that could make a big difference.
Lost fund are lost fund, you are entitled to your very own security when using crypto. The early stages of every new technology is not always safe therefore crypto is no different you just have to be very careful keeping your private keys very safe and keep a backup with a trusted family member for emergency.
Hey i can understand this as it's a sensitive topic, it's same when a person dies and doesn't tell his family where he kept his fiat stashed. I feel in the case of Bitcoins there's no way to recover those coins, and those are permanently out of circulation. While it's bad for a person's family not being able to access his coins, if you see for others it's a boon as it'll limit the total number of coins in circulation and increase it's value. I have made a list of my holdings with my lawyer, and my family has a copy of it too in case anything ever happens to me so you can do the same.
@Velkro
Who will inherit the bitcoins in the end? Will they go to the same person you don't trust in the first place?
The Timelock option is not wrong but I have heard many times that users don't trust those closest to them with their possessions. That is the part that I don't understand. Worrying about how our beloved ones will get our bitcoins but not trusting them with out money while we are still alive.
My wife knows where to find the information to access my digital possessions in case something happens to me. And my sister knows what to do in case something happens to the both of us.
And I don't understand why the world is like this. We can trust third parties by using their services but can not trust our own people.Who will inherit the bitcoins in the end? Will they go to the same person you don't trust in the first place?
The Timelock option is not wrong but I have heard many times that users don't trust those closest to them with their possessions. That is the part that I don't understand. Worrying about how our beloved ones will get our bitcoins but not trusting them with out money while we are still alive.
My wife knows where to find the information to access my digital possessions in case something happens to me. And my sister knows what to do in case something happens to the both of us.
Whatever the reasons are, I find this typically unfair.
@Velkro
Who will inherit the bitcoins in the end? Will they go to the same person you don't trust in the first place?
The Timelock option is not wrong but I have heard many times that users don't trust those closest to them with their possessions. That is the part that I don't understand. Worrying about how our beloved ones will get our bitcoins but not trusting them with out money while we are still alive.
My wife knows where to find the information to access my digital possessions in case something happens to me. And my sister knows what to do in case something happens to the both of us.
Who will inherit the bitcoins in the end? Will they go to the same person you don't trust in the first place?
The Timelock option is not wrong but I have heard many times that users don't trust those closest to them with their possessions. That is the part that I don't understand. Worrying about how our beloved ones will get our bitcoins but not trusting them with out money while we are still alive.
My wife knows where to find the information to access my digital possessions in case something happens to me. And my sister knows what to do in case something happens to the both of us.
what if I die today and all my crypto holdings are theoretically locked forever? And it's certain that there are people who are dead now who were holding crypto and nobody knew how to access them. These crypto assets will never be in circulation again... So how can we prevent this from happening? Is it alarming or not? Will there be any solutions in near future?
Timelock is only reliable solution, put funds with timelock on address that will allow spend them in 5 years. Mark that date in callendar. If you are still alive then, send funds to new address again with 5 years timelock. You can keep going like that until you die
Only reliable source because lawyers and "trusted" people can fail you.
Problem is only when 3rd persona will know ur private key and will spend this funds faster than you could transfer it to new 5 years timelock address
. Still a lot safer than trusting lawyer/other person. 
Yes its safe if you know what your doing, in my case ive printed out my private keys into a paper with 3 copies and put it in different places in our house and only my wife knows where ive put them.
I wouldn't complicate things too much. Are you married? Do you trust your wife, your kids, parents or other family members? Show them where they can find the private keys to your wallets or the needed passwords, pin numbers in case something happens to you. No need to have it go through a lawyer, timelock or other mechanisms. If you don't trust those closest to you and think you will get screwed over by them, then you shouldn't care what will happen to your investments either.
I'll probably end up leaving the information to my parents as I'm still pretty young and perhaps with my brother(s) and other relatives as well. I've been screwed over by some of my relatives in the past before, but I won't show any one of them all the places where I'm stashing my BTC away. You're right though, I was definitely overthinking this. Thanks for the tip. 
I wouldn't complicate things too much. Are you married? Do you trust your wife, your kids, parents or other family members? Show them where they can find the private keys to your wallets or the needed passwords, pin numbers in case something happens to you. No need to have it go through a lawyer, timelock or other mechanisms. If you don't trust those closest to you and think you will get screwed over by them, then you shouldn't care what will happen to your investments either.
I will still prefer timelock or dead man switch.
It is not like that I am not trusting but I do not want to expose my private key to anybody else. Actually I will like to create a single wallet and private key for her and multiple wallet for me. All will transfer their balance on different year to that wallet.
(I think Social engineering is more dangerous than Phishing/viruses)
Crypto in general is not safe, but we are still here investing and trusting it because we know in the future it will be safe.
It's normal to see this kind of news since we are in the early stage now, but this crypto space will get developed and proper regulation will be applied.
Some exchanges gets hack or even the owner can scam traders or investors and we need the government to protect us.
The system is fix, we cannot change that it's decentralized and the supply is fixed, so we need to take care of our coins.
More problem like losing the code or password might be bad but in some way it's also good as it reduce the supply which would result to price increase.
It's normal to see this kind of news since we are in the early stage now, but this crypto space will get developed and proper regulation will be applied.
Some exchanges gets hack or even the owner can scam traders or investors and we need the government to protect us.
The system is fix, we cannot change that it's decentralized and the supply is fixed, so we need to take care of our coins.
More problem like losing the code or password might be bad but in some way it's also good as it reduce the supply which would result to price increase.
Explain to me why Cryptocurrency, in general, isn't safe? what kind of regulation? we need the government? Honestly, your post is triggering me.
Cryptocurrency in term of technical is safe that is fact, it is unhackable. The problem is the user, not the technology, Most of us so dumb that can't even read proper documentation or having a damn common sense. So they are all easily get fooled, and loss their wallers or private keys.
The solution of centralized exchange getting hacked, and the major problem of cryptocurrencies isn't could be fixed by governments. I mean Bitcoin is known to be technically trustless and decentralized, why the F you want governments to protect us?. Is Bitcoin are a joke to you?
I wouldn't complicate things too much. Are you married? Do you trust your wife, your kids, parents or other family members? Show them where they can find the private keys to your wallets or the needed passwords, pin numbers in case something happens to you. No need to have it go through a lawyer, timelock or other mechanisms. If you don't trust those closest to you and think you will get screwed over by them, then you shouldn't care what will happen to your investments either.
I personally keep my BTC in different wallets that are stored in different places, including but not limited to bank deposit boxes and also a bit in my house as well. There's really no perfect way to store BTC in the end, but you should always be keeping coins in a wallet where you fully control the private keys. Only keep as much as you're actively trading on an exchange, and deposit and withdraw as needed. Fees are still a bit high on exchanges, though, so withdrawing in chunks is a good idea if you're trying to minimize fees. I'm still working out how my coins would be handled in the unfortunate event that I die, though, as there's only a very limited number of people I would trust with knowing the location of my stored BTC and how to use the keys.
Mashfiqun, fake death of that CEO or not, it does not really matter because it was said countless times that if you not own your private keys, you do not own anything. Giving trust to any crypto exchange is not a clever decision, they are for trading, not for holding coins.
Your second question represents a problem for most of those who own cryptocurrency, and there is no simple solution. In my opinion everyone needs to evaluate their own situation, and then decide which steps to take.
Some will say that backup should be in bank safe deposit box, and in case of user death bank will return the contents of the safe to family members or or individual member of the family named in the will. Second option is to split backup (seed words) with instructions, and give each member of the family one part. The bad side of this is the possibility of misuse, if all family members decide to take the inheritance before owner dies.
Your second question represents a problem for most of those who own cryptocurrency, and there is no simple solution. In my opinion everyone needs to evaluate their own situation, and then decide which steps to take.
Some will say that backup should be in bank safe deposit box, and in case of user death bank will return the contents of the safe to family members or or individual member of the family named in the will. Second option is to split backup (seed words) with instructions, and give each member of the family one part. The bad side of this is the possibility of misuse, if all family members decide to take the inheritance before owner dies.
Got a lot of ideas from you guys, thank you! I hope there will be a better way to handle these kind of situations.
Thanks to you all! <3
Thanks to you all! <3
Crypto in general is not safe, but we are still here investing and trusting it because we know in the future it will be safe.
It's normal to see this kind of news since we are in the early stage now, but this crypto space will get developed and proper regulation will be applied.
Some exchanges gets hack or even the owner can scam traders or investors and we need the government to protect us.
The system is fix, we cannot change that it's decentralized and the supply is fixed, so we need to take care of our coins.
More problem like losing the code or password might be bad but in some way it's also good as it reduce the supply which would result to price increase.
You should be careful in sharing your private key, only share it to people you trust.
My case, I'm still the one who knows it but I'll likely let my wife know at the right time.
It's normal to see this kind of news since we are in the early stage now, but this crypto space will get developed and proper regulation will be applied.
Some exchanges gets hack or even the owner can scam traders or investors and we need the government to protect us.
The system is fix, we cannot change that it's decentralized and the supply is fixed, so we need to take care of our coins.
More problem like losing the code or password might be bad but in some way it's also good as it reduce the supply which would result to price increase.
~snip~
You should be careful in sharing your private key, only share it to people you trust.
My case, I'm still the one who knows it but I'll likely let my wife know at the right time.
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